Bitcoin has yet to find a good reversal point. A few whales bought in the last few days and confused a few TA's. But just look at how fast indicators became overbought. Too much bear momentum for those whales to continue pumping. If the monthly starts defining its direction it wouldn't surprise me if we saw 5k this month.
There is a VERY high probability that 6700 was the reversal point. If that's not the case I'm almost certain that $6000 will be the reversal. Too many patterns are repeating across small and LARGE time frames.
I hope you payed attention to how to find tops and bottoms. You saw how well it works I called tops literally at peaks. So the next question is when will BTC have bottomed? Let momentum drop and oscillate within the red zone. When it clearly crosses into the green you know that bears lost all their steam. Wait for the pullback down then buy. For now we...
We are in dangerous territory. We crossed the trendline on momentum to the downside and we're waiting for the retrace to sell (daily chart). In my opinion it's selling time we retraced already but it's not like we couldn't retrace even more. I'm on the sidelines for now. I don't use leverage or short. But if I did I'd short.
On my previous two posts I drew a trend line on momentum. I said that by the 23rd maybe much sooner the momentum line would cross under the black trend line "red zone" and that it would mark a TOP "high probability trend reversal". All you had to do was wait for the pullback and sold as instructed.
Read yesterday's post: I said that as soon we crossed into the red zone we would have a bottom and that I would make an update as soon as we did reach the red zone. Well here we are. A top has likely formed. So now we either continue going down or BTC will have 1 last attempt at going up.
This chart is on the 2hr frame.
A good indicator you can use to find tops and bottoms is momentum. Watch the chart if you see that the oscillator crosses into the red area we most likely formed a top. I usually wait for the cross then a small pullback to place my sell. So for now let the bulls do their thing.
As soon as momentum crosses the line and goes into the red zone I'll make an update...
I have one problem with BTC: yesterday at about 7350 we had good news "G20" and BTC rose from the dead, except it didn't. From yesterday to today only retail volume bought the news while institutional money was still bearish. Momentum suggests that bulls have been flushed out and a reversal is imminent. In other words bulls need a real influx of money to keep...